More than a few investors choose to invest these precious metals and gold transfer IRA to gold . Investors are seeking ways to secure their savings, due to the current global economic environment and fears of another economic downturn. A tangible asset such as gold that can help you protect your investment dollars has always been a good way to secure wealth.
Many investors are opting to withdraw a portion or all of their 401K and IRA accounts. Others may liquidate all their retirement accounts and move that money into precious or gold IRAs. It is a very safe way to invest, but there are also people who fear that the government may seize your gold. Many people will dismiss the idea that they could move their 401K or purchase gold bullion to a gold IRA.
It is true that investors fear that the government might seize their gold. However, this is only a tactic employed by some gold firms to persuade you to invest on collectible or numismatic coin. It is believed that the government can’t seize numismatic currency if it passes a Presidential Order similar to the one President Roosevelt passed in 1933. The order allowed citizens the right to keep any collectible golden coins. This loophole was used by unscrupulous gold traders to try to convince you to buy expensive collectible gold coin.
The Government Can Seize Your Gold!
There is currently no such order that allows the government to take your gold. Also, the 1933 order did not permit the government’s to go out and seize gold. It required citizens to return their gold. They were then paid. It is important to remember that this was back when the dollar had been backed by gold. The US dollar does not have a gold backing, so the government has no incentive to take gold from citizens.
Is it possible to estimate how many of America’s citizens actually gave up their gold and how many kept on hoarding gold? If the number common pre-1933 coins of gold is an indication of how many people were willing to comply, you will see that there was a lot of people who kept on to their gold. These coins were only used to make currency. These were not collectible coins.
Why the government won’t seize your gold
Even if America returned to a dollar supported by gold, the value of gold would rocket into the stratosphere. According to some estimates, gold would need to sell for over $10,000 an ounce if the US wants to return to the gold-standard standard. This price could be as high as $40,000 per ounce according to other estimates. Also, to give the government more money to invest in the economy it would need to have more gold.
As you are aware, the government is simply printing more money in order to stimulate the economic growth. This can cause inflation, but this is how it has been done since the US left the gold standard.